About bargaining in the Commonwealth public sector
The Australian Government is committed to fair and equitable conditions of employment and job security. The Commonwealth will act as a model employer, including through genuine bargaining to improve pay and conditions.
Agencies that do not employ staff under the Public Service Act 1999 are referred herein as “non-APS agencies”. Part 2 of the Public Sector Workplace Relations Policy 2023 covers bargaining and workplace arrangements in non-APS agencies.
The Public Sector Workplace Relations Policy 2023 and Non-APS bargaining parameters provide a level of flexibility for non-APS agencies, including the capacity for employees and their representatives to bargain for agreements that:
include the common conditions negotiated in APS bargaining where the conditions meet their needs, and
tailor their arrangements in a number of areas, consistent with the parameters.
Commonwealth pay offer
The Commonwealth pay offer is for 11.2 per cent over 3 years. This applies to APS and non-APS agencies.
The Commonwealth considered a range of factors when determining its pay offer, including:
advice from the Department of Treasury
recent wage outcomes across Australia
numerous economic indicators
the current labour market
The Commonwealth's pay offer exceeds the Wage Price Index for the June quarter 2023. This index has underpinned salary increases in many agencies in recent years. It is also in line with recent state and territory public sector wage offers, with no offer exceeding 4 per cent in the first year.Non-APS agencies must obtain approval from the APS Commissioner before any proposed increases in remuneration or changes to conditions with a financial impact are discussed with employees and/or their represenatives.